{"id":40,"date":"2023-10-27T08:57:34","date_gmt":"2023-10-27T08:57:34","guid":{"rendered":"https:\/\/demo.oxygenehosting.com\/sanlam\/?p=40"},"modified":"2023-11-29T09:00:04","modified_gmt":"2023-11-29T09:00:04","slug":"why-small-businesses-need-insurance","status":"publish","type":"post","link":"https:\/\/demo.oxygenehosting.com\/sanlam\/why-small-businesses-need-insurance\/","title":{"rendered":"Why small businesses need insurance"},"content":{"rendered":"

Businesses face different risks such as accidents, theft, loss of income, lawsuits, employee injuries or illnesses, property damage due to vandalism, fire or floods, and professional errors among others resulting in significant financial losses.<\/span><\/p>\n

When catastrophic events happen, the cost of putting it right can be so huge that it is impossible. This is why it\u2019s essential to protect your investment from adverse situations that have the potential to financially ruin your business.\u00a0<\/span><\/p>\n

Entrepreneurs seek insurance to safeguard against various risks that may cause losses while doing business. Even though having an insurance cover for your business cannot prevent bad things from happening, it can however, help protect your venture from financial loss caused by any of the risks.<\/span><\/p>\n

According to the Association of Kenya Insurers (AKI), there are different types of business insurance covers based on size, location, industry, and number of employees, among other considerations. AKI adds that, overall, insurance covers areas such as property, employees, and liabilities.<\/span><\/p>\n

On property, the insurance cover various forms like motor vehicles, motorcycles, furniture, buildings, machinery and equipment, stock among other physical things. AKI says insuring business property is important as it is expensive to replace when damaged or stolen, making it difficult for a business to recover.\u00a0<\/span><\/p>\n

On employees, if a business has employees, then the owner is required by law to compensate them should they be injured in the line of duty. Work injury Benefits Insurance is a legal requirement for businesses under the Work Injury Benefits Act (WIBA). Work Injury Benefits Insurance provides compensation to employees for work-related injuries and diseases contracted in the course of employment.\u00a0<\/span><\/p>\n

On liabilities, AKI says this is coverage against claims resulting from injuries and damages to other people or property. For instance, a customer get injured or sick from using products from your business and they sue the business. In this case, product liability insurance will cover legal costs and pay-outs if the insured party (the business) is found legally liable.<\/span><\/p>\n

Benefits of insuring your business<\/b><\/p>\n

Reduction of business uncertainty<\/span><\/i> \u2013 This makes you aware of the risks your business faces and getting your businesses insured helps you to manage these risks effectively and efficiently.\u00a0<\/span><\/p>\n

Better chances of accessing credit facilities<\/span><\/i> \u2013 An insured business has better chances of securing loans from financial institutions, since it can use its insurance policy as collateral for the loan.\u00a0\u00a0<\/span><\/p>\n

Attract skilled and qualified employees<\/span><\/i> \u2013 A business that provides insurance cover for its employees is more likely to attract and retain skilled employees compared to one that does not.\u00a0<\/span><\/p>\n

Increases business credibility<\/span><\/i> \u2013 If clients or customers know that the business is insured, it gives them peace of mind and increases your business credibility score.\u00a0\u00a0<\/span><\/p>\n

As an entrepreneur, it\u2019s good to know that when your business is insured, in case of a risk, the insurer can compensate you and protect your business from closing if the losses are more than what you can handle.<\/span><\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

Businesses face different risks such as accidents, theft, loss of income, lawsuits, employee injuries or illnesses, property damage due to vandalism, fire or floods, and professional errors among others resulting in significant financial losses.<\/p>\n","protected":false},"author":1,"featured_media":75,"comment_status":"open","ping_status":"open","sticky":true,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,4,15],"tags":[],"class_list":["post-40","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-for-me","category-my-property","category-videos"],"acf":[],"_links":{"self":[{"href":"https:\/\/demo.oxygenehosting.com\/sanlam\/wp-json\/wp\/v2\/posts\/40","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/demo.oxygenehosting.com\/sanlam\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/demo.oxygenehosting.com\/sanlam\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/demo.oxygenehosting.com\/sanlam\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/demo.oxygenehosting.com\/sanlam\/wp-json\/wp\/v2\/comments?post=40"}],"version-history":[{"count":2,"href":"https:\/\/demo.oxygenehosting.com\/sanlam\/wp-json\/wp\/v2\/posts\/40\/revisions"}],"predecessor-version":[{"id":55,"href":"https:\/\/demo.oxygenehosting.com\/sanlam\/wp-json\/wp\/v2\/posts\/40\/revisions\/55"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/demo.oxygenehosting.com\/sanlam\/wp-json\/wp\/v2\/media\/75"}],"wp:attachment":[{"href":"https:\/\/demo.oxygenehosting.com\/sanlam\/wp-json\/wp\/v2\/media?parent=40"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/demo.oxygenehosting.com\/sanlam\/wp-json\/wp\/v2\/categories?post=40"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/demo.oxygenehosting.com\/sanlam\/wp-json\/wp\/v2\/tags?post=40"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}